Some of the earliest signs of habitation in the area of Osaka were found at the Morinomiya remains (森の宮遺跡,Morinomiya iseki?), with its shell mounds, including sea oysters and buried human skeletons from the 5th–6th centuries BC. It is believed that what is today the Uehonmachi area consisted of a peninsular land, with an inland sea in the east. During the Yayoi period, permanent habitation on the plains grew as rice farming became popular.[1]

By the Kofun period, Osaka developed into a hub port connecting the region to the western part of Japan. The large numbers of increasingly larger tomb mounds found in the plains of Osaka are seen as evidence of political-power concentration, leading to the formation of a state.[1][5]

Naniwa was declared the capital again in 744 by order of Emperor Shōmu, and remained so until 745, when the Imperial Court moved back to Heijō-kyō (now Nara). By the end of the Nara period Naniwa's seaport roles had been gradually taken over by neighboring areas, but it remained a lively center of river, channel, and land transportation between Heian-kyō (Kyoto today) and other destinations.

Osaka was long considered Japan's primary economic center,[9] with a large percentage of the population belonging to the merchant class (see Four divisions of society). Over the course of the Edo period (1603–1867), Osaka grew into one of Japan's major cities and returned to its ancient role as a lively and important port. Its popular culture[10] was closely related to ukiyo-e depictions of life in Edo. By 1780 Osaka had cultivated a vibrant arts culture, as typified by its famous Kabuki and Bunraku theaters.[11] In 1837 Ōshio Heihachirō, a low-ranking samurai, led a peasant insurrection in response to the city's unwillingness to support the many poor and suffering families in the area. Approximately one-quarter of the city was razed before shogunal officials put down the rebellion, after which Ōshio killed himself.[12] Osaka was opened to foreign trade by the government of the Bakufu at the same time as Hyōgo (modern Kobe) on 1 January 1868, just before the advent of the Boshin War and the Meiji Restoration.[13]

Osaka residents were stereotyped in Edo literature from at least the 18th century. Jippenisha Ikku in 1802 depicted Osakans as stingy almost beyond belief. In 1809 the derogatory term "Kamigata zeeroku" was used by Edo residents to characterize inhabitants of the Osaka region in terms of calculation, shrewdness, lack of civic spirit, and the vulgarity of Osaka dialect. Edo writers aspired to samurai culture, and saw themselves as poor but generous, chaste, and public spirited. Edo writers by contrast saw "zeeroku" as obsequious apprentices, stingy, greedy, gluttonous, and lewd. To some degree Osaka residents are stigmatized by Tokyo observers in much the same way down to the present, especially in terms of gluttony. As a famous saying has it, "Osaka wa kuidaore" (Osaka people eat 'til they drop).[14]

The modern municipality was established[15] in 1889 by government ordinance, with an initial area of 15 square kilometres (6 sq mi), overlapping today's Chūō and Nishi wards. Later, the city went through three major expansions to reach its current size of 223 square kilometres (86 sq mi). Osaka was the industrial center most clearly defined in the development of capitalism in Japan. The rapid industrialization attracted many Korean immigrants, who set up a life apart for themselves.[16] The political system was pluralistic, with a strong emphasis on promoting industrialization and modernization.[17] Literacy was high and the educational system expanded rapidly, producing a middle class with a taste for literature and a willingness to support the arts.[18]

Like its European and American counterparts, Osaka displayed slums, unemployment, and poverty. In Japan it was here that municipal government first introduced a comprehensive system of poverty relief, copied in part from British models. Osaka policymakers stressed the importance of family formation and mutual assistance as the best way to combat poverty. This minimized the cost of welfare programs.[19]

"Osaka" literally means "large hill" or "large slope". It is unclear when this name gained prominence over Naniwa, but the oldest usage of the name dates back to a 1496 text. Osaka, now written 大阪, was actually written using a different second kanji as 大坂 prior to 1870. At the time, the partisans for the Meiji Restoration wished to avoid the second kanji being implicitly read as "士反," meaning samurai rebellion. The old writing is still in very limited use to emphasize history, but the second kanji 阪 is now universally considered referring to Osaka city and prefecture only, to distinguish it from homonyms in other Japanese prefectures.

The city's west side is open to Osaka Bay, and is otherwise completely surrounded by more than ten satellite cities, all of them in Osaka Prefecture, with one exception: the city of Amagasaki, belonging to Hyōgo Prefecture, in the northwest. The city occupies a larger area (about 13%) than any other city or village within Osaka Prefecture. When the city was established in 1889, it occupied roughly the area known today as the Chuo and Nishi wards, only 15.27 square kilometres (3,773 acres) that would eventually grow into today's 222.30 square kilometres (54,932 acres) via incremental expansions, the largest of which being a single 126.01 square kilometres (31,138 acres) expansion in 1925. Osaka's highest point is 37.5 metres (123.0 ft) Tokyo Peil in Tsurumi-ku, and the lowest point is in Nishiyodogawa-ku at −2.2 metres (−7.2 ft) Tokyo Peil.[21]

Osaka is located in the humid subtropical climate zone (KöppenCfa), with four distinct seasons. Its winters are generally mild, with January being the coldest month having an average high of 9.3 °C (49 °F). The city rarely sees snowfall during the winter. Spring in Osaka starts off mild, but ends up being hot and humid. It also tends to be Osaka's wettest season, with the Tsuyu or rainy season occurring between late May to early July. Summers are very hot and humid. In the months of July and August, the average daily high temperature approaches 35 °C (95 °F), while average nighttime temperatures typically hover around 25 °C (77 °F). Fall in Osaka sees a cooling trend, with the early part of the season resembling summer while the latter part of fall resembles winter.

Kita is home to the Umeda district and its immediate surrounding neighborhoods, a major business and retail hub that plays host to Osaka Station City and a large subterranean network of shopping arcades.[25] Kita and nearby Nakanoshima contain a prominent portion of the city's skyscrapers and are often featured in photographs of Osaka's skyline.

Minami, though meaning "south", is essentially in Chūō ward and geographically central within the city.[27] Well known districts here include Namba and Shinsaibashi, the Dōtonbori canal entertainment area, Nipponbashi Den Den Town, as well as arts and fashion culture-oriented areas such as Amerikamura and Horie. The nearby business districts of Honmachi and Yodoyabashi house the regional HQ's of many large-scale banks and corporations.

The city's west side is a prominent bay area[29] which serves as its main port as well as a tourist destination with attractions such as Kyocera Dome, Universal Studios Japan and the Tempozan Harbour Village. East Osaka is zoned as a separate city, although the east side of Osaka city proper contains numerous residential neighborhoods including Tsuruhashi Korea Town, as well as the Osaka Castle Park, Osaka Business Park and the hub Kyōbashi Station.

Osaka contains numerous urban canals and bridges, many of which serve as the namesake for their surrounding neighbourhoods.[30] The phrase "808 bridges of Naniwa" was an expression in old Japan used to indicate impressiveness and the "uncountable". Osaka numbered roughly 200 bridges by the Edo period [31] and 1629 bridges by 1925. As many of the city's canals were gradually filled in, the number dropped to 872, of which 760 are currently managed by Osaka City.[30]

According to the census in 2005, there were 2,628,811 residents in Osaka, an increase of 30,037 or 1.2% from 2000.[32] There were 1,280,325 households with approximately 2.1 persons per household. The population density was 11,836 persons per km². The Great Kantō Earthquake caused a mass migration to Osaka between 1920 and 1930, and the city became Japan's largest city in 1930 with 2,453,573 people, outnumbering even Tokyo, which had a population of 2,070,913. The population peaked at 3,252,340 in 1940, and had a post-war peak of 3,156,222 in 1965, but continued to decrease since, as the residents moved out to the suburbs.[33]

There were 99,775.5 registered foreigners, the two largest groups being Korean (71,015) and Chinese (11,848). Ikuno, with its Tsuruhashi district, is the home to one of the largest population of Korean residents in Japan, with 27,466 registered zainichi Koreans.[34][35]

The commonly spoken dialect of this area is Osaka-ben, a form of Kansai-ben. Of the many other particularities that characterize Osaka-ben, examples include using the copula ya instead of da, and the suffix -hen instead of -nai in the negative of verbs.

The Osaka City Council is the city's local government formed under the Local Autonomy Law. The Council has eighty-nine seats, allocated to the twenty-four wards proportional to their population and re-elected by the citizens every four years. The Council elects its President and Vice President. Toshifumi Tagaya (LDP) is the current and 104th President since May 2008. The Mayor of the city is directly elected by the citizens every four years as well, in accordance with the Local Autonomy Law. Toru Hashimoto, former governor of Osaka Prefecture is the 19th mayor of Osaka since 2011. The mayor is supported by two Vice Mayors, currently Akira Morishita and Takashi Kashiwagi, who are appointed by him in accordance with the city bylaw.[36]

Osaka also houses several agencies of the Japanese Government. Below is a list of Governmental Offices housed in Osaka.

In July 2012, a joint multi-party bill was submitted to the Diet that would allow for implementation of the Osaka Metropolis plan as pursued by the mayor of Osaka city, the governor of Osaka and their party. If implemented, Osaka City, neighbouring Sakai City and possibly other surrounding municipalities would dissolve and be reorganized as special wards of Osaka prefecture – similar to former Tokyo City's successor wards within Tokyo prefecture. Special wards are municipal-level administrative units that leave some otherwise municipal administrative responsibilities and revenues to the prefectural administration.[37]

On February 27, 2012 three Kansai cities, Kyoto, Osaka and Kobe, jointly asked Kansai Electric Power Company to break its dependence on nuclear power. In a letter to KEPCO they also requested to disclose information on the demand and supply of electricity, and for lower and stable prices. The three cities were stockholders of the plant: Osaka owned 9% of the shares, while Kobe had 3% and Kyoto 0.45%. Toru Hashimoto, the mayor of Osaka, announced a proposal to minimize the dependence on nuclear power for the shareholders meeting in June 2012.[38]

On March 18, 2012 the city of Osaka decided as largest shareholder of Kansai Electric Power Co, that at the next shareholders-meeting in June 2012 it would demand a series of changes:

that Kansai Electric would be split into two companies, separating power generation from power transmission

a reduction of the number of the utility's executives and employees.

the implementation of absolutely secure measurements to ensuring the safety of the nuclear facilities.

the disposing of spent fuel.

the installation of new kind of thermal power generation to secure non-nuclear supply of energy.

selling all unnecessary assets including the stock holdings of KEPCO.

In this action Osaka had secured the support of two other cities and shareholders: Kyoto and Kobe, but with their combined voting-rights of 12.5 percent they were not certain of the ultimate outcome, because for this two-thirds of the shareholders would be needed to agree to revise the corporate charter.[39]

At a meeting held on April 10, 2012 by the "energy strategy council", formed by the city of Osaka and the governments of the prefectures, it became clear that at the end of the fiscal year 2011 some 69 employees of Kansai Electric Power Company were former public servants. "Amakudari" was the Japanese name for this practice of rewarding by hiring officials that formerly controlled and supervised the firm. Such people included the following:

The gross city product of Osaka in fiscal year 2004 was ¥21.3 trillion, an increase of 1.2% over the previous year. The figure accounts for about 55% of the total output in the Osaka Prefecture and 26.5% in the Kinki region. In 2004, commerce, services, and manufacturing have been the three major industries, accounting for 30%, 26%, and 11% of the total, respectively. The per capita income in the city was about ¥3.3 million, 10% higher than that of the Osaka Prefecture.[41]MasterCard Worldwide reported that Osaka ranks 19th among the world's leading cities and plays an important role in the global economy.[42]

The GDP in the greater Osaka area (Osaka and Kobe) is $341 billion. Osaka, along with Paris and London, has one of the most productive hinterlands in the world.[43]

Historically, Osaka was the center of commerce in Japan, especially in the middle and pre-modern ages. Nomura Securities, the first brokerage firm in Japan, was founded in the city in 1925, and Osaka still houses a leading futures exchange. Many major companies have since moved their main offices to Tokyo. However, several major companies, such as Panasonic, Sharp, and Sanyo, are still headquartered in Osaka. Recently, the city began a program, headed by mayor Junichi Seki, to attract domestic and foreign investment.[44]

The Osaka Securities Exchange, specializing in derivatives such as Nikkei 225 futures, is based in Osaka. The merger with JASDAQ will help the Osaka Securities Exchange become the largest exchange in Japan for start-up companies.[45]

According to global consulting firm Mercer, Osaka was the second most expensive city for expatriate employees in the world in 2009. It jumped up nine places from 11th place in 2008 and was the eighth most expensive city in 2007. However, it was not ranked in the top ten places of the list in 2013.[46][47] The Economist Intelligence Unit (EIU) ranked Osaka as the second most expensive city in the world in its 2013 Cost of Living study.[48]

The Osaka Municipal Subway system alone ranks 8th in the world by annual passenger ridership, serving over 912 million people annually (a quarter of Greater Osaka Rail System's 4 billion annual riders), despite being only 8 of more than 70 lines in the metro area.

All Shinkansen trains including Nozomi stop at Shin-Osaka Station and provide access to other major cities in Japan, such as Kobe, Kyoto, Nagoya, Yokohama, and Tokyo.

Regular bus services are provided by Osaka Municipal Transportation Bureau (the City Bus), as well Hankyu, Hanshin and Kintetsu, providing a dense network covering most parts of the city.

Osaka has a large number of wholesalers and retail shops: 25,228 and 34,707 respectively in 2004, according to the city statistics.[49] Many of them are concentrated in the wards of Chuō (10,468 shops) and Kita (6,335 shops). Types of shops vary from malls to conventional shōtengai shopping arcades, built both above- and underground.[50] Shōtengai are seen across Japan, and Osaka has the longest one in the country.[51] The Tenjinbashi-suji arcade stretches from the road approaching the Tenmangū shrine and continues for 2.6 km (1.6 miles) going north to south. The type of stores along the arcade includes commodities, clothing, and catering outlets.

Other shopping areas include Den Den Town, the electronic and manga/anime district, which is comparable to Akihabara; the Umeda district, which has the Hankyu Sanbangai shopping mall and Yodobashi Camera, a huge electrical appliance store that offers a vast range of fashion stores, restaurants, and a Shonen Jump store.

Osaka is known for its food, both in Japan and abroad. Author Michael Booth and food critic François Simon of Le Figaro have both suggested that Osaka is the food capital of the world.[52] Osakans' love for the culinary is also made apparent in the old saying "Kyotoites are financially ruined by overspending on clothing, Osakans are ruined by spending on food".[53] Regional cuisine includes okonomiyaki (pan-fried batter cake), takoyaki (octopusdumplings), udon (a noodle dish), as well as the traditional oshizushi (pressed sushi), particularly battera(バッテラ?, pressed mackerel sushi). Osaka is also known for its fine sake, which is made with fresh water from the prefecture's mountains.[54] Osaka's culinary prevalence is the result of a location that has provided access to high quality ingredients, a high population of merchants, and close proximity to the ocean and waterway trade.[55] In recent years, Osaka has started to garner more attention from foreigners with the increased popularity of cooking and dining in popular culture.[56]

Umeda Arts Theater opened in 2005 after relocating from its former 46-year-old Umeda Koma Theater. The theater has a main hall with 1,905 seats and a smaller theater-drama hall with 898 seats. Umeda Arts Theatre stages various type of performances including musicals, music concerts, dramas, rakugo, and others.

Festival Hall was a hall hosting various performances including noh, kyōgen, kabuki, ballets as well as classic concerts. The Bolshoi Ballet and the Philharmonia are among the many that were welcomed on stage in the past. The hall has closed at the end of 2008, planned to re-open in 2013 in a new facility.

One of the most famous festivals held in Osaka, the Tenjin-matsuri is held on July 24 and 25. Other festivals in Osaka include the Aizen-matsuri, Shōryō-e and Tōka-Ebisu. Furthermore, Osaka held the Kansai International Film Festival in 2007( a one-time event)

Osaka serves as one of the media hubs for Japan, housing headquarters of many media-related companies. Abundant television production takes place in the city and every nationwide TV network (with the exception of TXN network) registers its secondary-key station in Osaka. All five nationwide newspaper majors also house their regional headquarters, and most local newspapers nationwide have branches in Osaka. However major film productions are uncommon in the city. Most major films are produced in nearby Kyoto or in Tokyo. The Ad Council Japan is based in Osaka.

Osaka Aquarium Kaiyukan – An aquarium located in Osaka Bay, containing 35,000 aquatic animals in 14 tanks, the largest of which holds 5,400 tons of water and houses a variety of sea animals including whale sharks. This tank is the world's second-largest aquarium tank, behind the Georgia Aquarium, whose largest tank holds approximately 29,000 tons of water.

HEP Five - A shopping/amusement plaza in Umeda featuring a Sega Joypolis and rooftop Ferris wheel offering views of the city.

Umeda Sky Building – Twin 173 m skyscrapers bridged by a rooftop "Floating Garden" observatory presenting a 360-degree panoramic view of Osaka. Popular for photographs, the structure also houses an underground mall with restaurants styled after the early Showa period of the 1920s.

Tennōji Park: About 28 ha. Includes Tennōji Zoo; an art museum (established by contribution from Sumitomo family in 1936); and a Japanese garden, Keitaku-en (慶沢園). Keitaku-en was constructed in 1908 by Jihei Ogawa (小川治兵衛), an illustrious gardener in Japan. This was originally one of Sumitomo family's gardens until 1921.

Public elementary and junior high schools in Osaka are operated by the city of Osaka. Its supervisory organization on educational matters is Osaka City Board of Education.[64] Likewise, public high schools are operated by the Osaka Prefectural Board of Education.

Osaka city once had a large number of universities and high schools, but because of growing campuses and the need for larger area, many chose to move to the suburbs, including Osaka University.[65]